Microsoft has announced a significant expansion of its AI infrastructure and cloud services in Indonesia, building on the launch of its first Indonesia Central cloud region earlier in 2025. The company revealed that new cloud and AI services are now available locally in this region, enhancing the capabilities Indonesian organizations can use to develop and deploy next-generation applications and solutions. This announcement was made at the Cloud & AI Innovation Summit in Jakarta, attended by business leaders, partners, and public sector representatives, underscoring Microsoft’s commitment to strengthening the country’s digital ecosystem.
The expansion reflects part of Microsoft’s broader USD 1.7 billion (IDR 26.8 trillion) investment in Indonesia’s cloud and AI infrastructure through 2028, aimed at empowering developers, institutions, and enterprises to innovate locally and compete globally. Local availability of services such as Microsoft Azure’s AI infrastructure, databases, and productivity tools like Microsoft 365 Copilot means organisations will benefit from lower latency, enhanced data residency, and improved security, key factors for businesses handling sensitive data and building AI-powered solutions.
Industry analysts project that Microsoft’s investment, including both infrastructure and associated ecosystem development, could contribute approximately USD 15.2 billion (IDR 238 trillion) in new economic value to Indonesia between 2025 and 2028, while also supporting the creation of more than 106,000 jobs across sectors.
Beyond infrastructure itself, Microsoft is also focusing on AI talent development, with programmes like Microsoft Elevate targeting broad AI skills training. This supports the broader vision of positioning Indonesia as a regional hub for AI-driven innovation, digital transformation, and economic growth, with local organisations increasingly adopting cloud-native technologies to modernise operations and unlock new business models.
(Source: RCR Wireless News; Microsoft)
